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Tiffin’s 28-foot Allegro Breeze Diesel Pusher Best of Show: Comments Contents Go To: .com

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  • Tiffins 28-footAllegro BreezeDiesel Pusher

    Best of Show:

    001-RVB100102 Cover LO 12/31/09 11:50 AM Page 1

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  • J A N U A R Y / F E B R U A R Y 2 0 1 0 RVBusiness 3

    THIS PAGE: Fleetwood RV Co. President andCOO John Draheim introduces the companys new28-foot Encounter Class A at Louisville (page 40).Mike Huckabee signs a copy of his book during theRVBusiness Top 50 Dealer Awards. An overview ofthe program, stories on all 50 winning dealers andour Leadership Alliance members begins on page 48.

    COVER: Rarely do we get the opportunity tohighlight three distinct but important topics with asingle photograph but this months cover accom-plishes exactly that. Photographed at the 47thAnnual National RV Trade Show (#1) anevent which produced suprisingly strong orders and

    lent further credence tothe resurgence of theRV industry (#2) Tiffins new AllegroBay epitomizes thetrend towards smaller,more fuel-efficientcoaches and was wor-thy of Best of Showstatus (#3). Photo byShawn Spence.

    RV Business (USPS 920-340) is copyrighted 2010 by TLEnterprises Inc. in the United States, Canada, Great Britain andother countries. Publication Sales Agreement No. 1938495Canadian return address: Affinity Group Inc., 2575 Vista Del Mar,Ventura, CA 93001. All rights reserved. Permission to reprint orquote excerpts granted only upon written request. Periodicalspostage paid at Ventura, Calif. 93001, and additional mailing offices.POSTMASTER: Send address changes to RV Business, PO Box5858, Harlan, IA 51593-1358. CUSTOMER SERVICE:Call (866) 238-3237 or email [email protected] RATES: U.S. and Canada, $79 a year; $149 fortwo years. Foreign subscriptions, $129 a year. Single copies are$11.95. Advertising rates are provided on request. RV Business ispublished by TL Enterprises Inc., 2575 Vista Del Mar Dr., Ventura,Calif. 93001, which also publishes Trailer Life, MotorHome, Rider,Trailer Lifes Campground/RV Park & Services Directory andHighways for the Good Sam Club. TLs Book Division currently has11 books in print.

    TOP OF THE NEWS11 Attendees at Outlook 2010 Breakfast Hear Uplifting Message11 Friends, Family, Peers Honor Thors Wade Thompson at Service12 RPTIA Board Votes to End Reunification Discussions With RVIA12 Keystone Purchases Fleetwoods 21-Acre Oregon Trailer Facility21 Winnebago Cites Higher Revenue, More Orders in 10 Q1 Report22 Thor Quadruples Q1 Net Income, Stock Increases 115% in 200922 Jayco Inc. Announces Changes to Senior Management Team22 Dealer Buddy Gregg Remembered as Innovator, Industry Leader26 Green Certification Continues to Gain Popularity in RV Industry

    NEWS IN FOCUS27 ARVC Welcomes 600 Park Operators at InSites Convention/Expo23 KOA Celebrates Near-Record 2009 Camping Season at Confab

    FEATURES34 RVBs 09 Newsmaker of the Year: The RV Industrys Resurgence70 European OEMs Debut Smaller, Lighter Rigs at Dusseldorf Show

    COVER STORY38 RV Manufacturers Report Surge in Orders at Louisville RV Show40 Innovative Products Highlight Smaller-But-Impressive Trade Show42 New Chassis Designs Help Fuel Move to Smaller Class A Coaches44 Tiffins 28-Foot Allegro Breeze Diesel Chosen RVBs Best of Show

    SPECIAL SECTION48 RVBusiness Top 50 Dealer Awards Honor Nations Best RV Retailers

    40

    VOL. 61, NO. 1, JANUARY/FEBRUARY 2010

    DEPARTMENTS6 State of the Art

    14 In Brief65 Public Domain66 Ad Index69 Supply Side72 Classifieds

    48

    003-RVB100102 Table of Con 1/5/10 2:15 PM Page 3

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  • 6 RVBusiness J A N U A R Y / F E B R U A R Y 2 0 1 0

    h, yes, the recession.Well remember it well, wont we?I thought about it a bunch over the holidays about how

    the global recession has inevitably changed the lives of manyAmericans particularly those involved in northern Indianasmarine, manufactured housing and RV sectors during The GreatRecession of 2008-2009.

    Heck, yes, well remember it well, as we endeavor to put it all behind us in 2010 and begin to enjoy a sweeping and

    genuine upswing we describe in detail in our feature in thisissue on the 2009 RV Business Newsmaker of the Year:The RV Industrys Resurgence.

    So, given the fact that we can all agree that the industrysgeneral recovery is real, you have to ask yourself if theres anysage advice we can garner from all the dislocation and general

    financial mayhem of the last two years?Maybe there is. I, for one, can think of at least three things that

    have prompted me recently to slow down and revise my approach to the businessworld and maybe life in general. The first was a story told in early October at theRV Business Top 50 Dealer Awards dinner by former Arkansas Gov. MikeHuckabee, who spun a yarn about the lessons of a bobsled rider: As soon as you seethe first curve, steer for it right then because by the time youre thinking about it,youll be in it, he told the diners at the Rio. If you think youve made a mistake,forget about it because theres not a thing you can do about any of the ice behindyou. Whats behind you cant hurt you. The best thing to do is ride that curve out.

    While I realize that this is a bit esoteric, the more I think about it, the more itmakes sense to me especially in the business world.

    The second piece of advice came in a front-page article in The Wall Street Journalabout how Americans have transitioned from a society infatuated with affluence toone full of penny pinchers. The economy appears to have begun recovering after theworst recession in half a century, says the WSJ. But businesses ranging from shoe-JJmakers to financial services to luxury hotels dont expect American consumers toreturn to their spendthrift ways any time soon. They see consumers emerging fromthe punishing downturn with a new mindset: careful, practical, more socially con-scious and embarrassed by flashy shows of wealth.

    We can work with that.Just as intriguing are the comments of RVIA forecaster Richard Curtin, director

    of the University of Michigan Consumer Survey Research Center, in his latestRoadsigns forecast. One lesson derived from the recession, he maintains, is that consumers are truly attached to the RV lifestyle. Another is that consumer tastes arequickly changing. Almost every other aspect of the industry will undergo change,from the type of RV that consumers will demand, the range of options and features,service and maintenance, and destination and camping facilities, he said. There aresubstantial long-term rewards that can be reaped by forward-looking companies, oreven new entrants, by abandoning outdated paradigms and focusing on meeting theneeds of the 21st-century RV consumer. The extent of the financial crisis has accel-erated what would have been a slowly evolving process of change. More importantly,the crisis has accelerated the upside potential for profits and market shares for inno-vative companies.

    STAFF

    VP/RV TRADE PUBLICATIONS Sherman GoldenbergEDITOR Bruce HampsonART DIRECTOR Mirante AlmazanSENIOR EDITOR Bob AshleyMIDWEST EDITOR Steve BiblerEDITOR AT LARGE Jeff CriderPHOTOGRAPHY DIRECTOR Shawn SpenceCONTRIBUTING TECHNICAL EDITOR Chris HemerPRODUCTION DIRECTOR Bob DawsonSENIOR ADVERTISING

    PRODUCTION MANAGER Brenda HutchinsonPREPRESS SPECIALIST Gerald VandiverIMAGE EDITOR Robert PetersonASSISTANT CIRCULATION DIRECTOR Jill AndersonFULFILLMENT MANAGER Denise Vigstol

    TL ENTERPRISES INC.

    CHAIRMAN Stephen AdamsPRESIDENT & CEO Michael SchneiderSENIOR VP/CFO Tom WolfeSENIOR VP/GROUP PUBLISHER/

    RV CONSUMER & TRADE PUBLICATIONS Bob LivingstonVP/CONTROLLER Dale HendrixVP/EXECUTIVE DIRECTOR

    OF GOOD SAM CLUB Susan BrayVP/TL DATABASE PUBLISHING Joe DaquinoSENIOR DIRECTOR OF

    CLUB & PUBLICATIONS MARKETING Ken HurdCHAIRMAN & PUBLISHER EMERITUS Art Rouse

    EDITORIAL/BUSINESS OFFICE

    2575 Vista Del Mar Drive, Ventura, CA 93001(805) 667-4100; Fax: (805) 667-4484; [email protected]

    ADVERTISING

    VP/RV ADVERTISING SALES Terry ThompsonCLASSIFIED Sue Seidlitz (Mgr.), Angela PezzulloBUSINESS MANAGER Denielle SternburgADVERTISING SALES

    P.O. Box 8510, Ventura, CA 93002-9912(805)667-4100; Fax: (805) 667-4379Elkhart, IndianaMIDWEST SALES DIRECTOR Chuck Lasley2300 Middlebury St., Elkhart, IN 46516(574) 295-7820; Fax: (574) 522-0418ADVERTISING SALES Tacy Hendershot-Sargent(772) 288-0387; Fax: (772) 288-0085ADVERTISING SALES Lou Cicirelli(954) 723-0565; Fax: (954) 339-0825Seattle, WashingtonADVERTISING SALES Scott Oakes, John Marciano1818 Westlake Ave., Seattle, WA 98109(206) 283-9545, fax (206) 283-9571Automotive AccountsCROMPTON HOLDINGS Scott Crompton9595 Mansfield RoadSheveport, LA 71118(334) 613-2040, fax: (334) 356-7740

    Pondering Some Lessons LearnedFrom The Great Recession of 2009

    As Vice President of RV Trade Publications for TL Enterprises Inc., Sherman Goldenberg, basedin Elkhart, Ind., oversees RV Business & Woodalls Campground Management.

    S T A T E O F T H E A R T

    B Y S H E R M A N G O L D E N B E R G

    A

    006-RVB100102 State of the 1/5/10 3:15 PM Page 6

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    010-RVB01 PG 10 SPADER 12/30/09 11:02 AM Page 10

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  • J A N U A R Y / F E B R U A R Y 2 0 1 0 RVBusiness 11

    RVIA Hosts Receptionfor Chinese DelegationAt Louisville RV Show

    A large delegation representing thegrowing Chinese RV industry attendedthis years National RV Trade Show inLouisville, meeting with U.S. manufac-turers and suppliers, touring the showbooths, and attending a reception RVIAhosted in their honor.

    The delegation of approximately 60included Chinese manufacturers look-ing to form joint ventures with U.S.manufacturers, companies looking todevelop campgrounds in China, gov-ernment officials, and private equityfirms. One delegation was led by theBeijing office of the U.S. Department ofCommerce. Several RVIA membercompanies reported enjoying substan-tive conversations with the Chinesedelegates about the burgeoning indus-trys plans for the future.

    According to Wang Xudong, man-ager of the RV fan site 21rv.com, thereare around 20,000 RVs in China, with300 travel trailers and 1,700 camper-vans. A quarter of RVs in China arefrom Germany and the U.S., with theremainder built by Chinese manufac-turers.

    There were roughly 30 companiesproducing RVs in China by 2007, henoted in an interview with China Daily,but the total output of RVs was verysmall, perhaps just a couple of hun-dred vehicles every year.6

    Hundreds of families, friends and associates ofWade F.B. Thompson, the late co-founder, chairman,president and CEO of Thor Industries Inc., gatheredDec. 18 on wintry New York Citys Park Avenue for atouching memorial service in his honor.

    Thompson, who built Thor into a powerful,multi-divisional RV manufacturer with partner PeterB. Orthwein, passed away Nov. 12 after a 14-yearbattle with cancer. Although the two had firstteamed to purchase the Hi-Lo Trailer Co. in 1977,they founded Thor in 1980 with the purchase of

    Airstream Inc. Thestory is often circu-lated about how thetwo, both of whomhad specialized infinance rather thanm a n u f a c t u r i n g ,turned Airstreams$12 million loss intoa $1 million profit ina single year.

    With the worst ofThe Great Recessionin the rearview mir-ror, the RV industry isset for recovery in2010, although chal-lenges obviously stillexist, RecreationVehicle IndustryAssociation (RVIA)President RichardCoon told about1,000 people attend-ing the 2009 OutlookBreakfast at RVIAs 47th Annual NationalTrade Show Dec. 1-3 in Louisville, Ky.

    Coon reported that October towable andmotorized RV shipments hit an annualizedrate of more than 216,000 units, markingthe third consecutive month in whichannualized shipments exceeded 200,000.And RVIAs November shipment report,released subsequent to the Louisville Show,underscored Coons comments.

    November wholesale shipment totalssurged 128.3% to 13,700 units, markingthe fourth positive monthly wholesaleshipment increase. Towables grew 140.4%,led by a 161.5% hike in travel trailers, whilemonthly motorhome wholesale shipmentssurged 50% to 1,200 units on a 100%

    increase in Class Cmotorhomes.

    Based on availabledata, Coon reported,Richard Curtin, dir-ector of the Univ-ersity of MichiganConsumer SurveyResearch Center, hasprovided an upgrad-ed forecast forRVIAs members.

    Curtin now anti-cipates wholesale ship-

    ments for 2009, when the numbers comein, at 159,500 units, clearly a recessionarytotal vs. 390,500 in 2006. But thats a 17%increase over Curtins summer predictions.Looking ahead to 2010, Coon toldOutlook Breakfast attendees, Dr. Curtinsees RV shipments climbing by 27% to203,500 units. This increase will be spreadacross all vehicle types.

    Specifically, Coon reported, Curtin cur-rently forsees:

    Travel trailer shipments climbing 31%to 130,400.

    Fifth-wheels up 25% to 42,800. Folding camping trailers increasing

    11% to 13,900.

    Coon to Outlook 2010 Attendees: All DataIndicates RV Industry Set for Recovery in 10RVIA President Cites Latest Wholesale Shipment Totals, Revised 2010 Forecastby Industry Prognosticator Richard Curtin in Detailing a More Upbeat Look Aheadin Presentation to 1,000 Attendees at Annual Breakfast Opening Louisville Show

    Friends, Family & Peers Honor Thors WadeThompson at Touching NYC Memorial ServiceAccording to Those Who Knew Him Well, Thompson Always Felt That His MajorBusiness Legacy Was Not Only In Helping Build Jackson Center, Ohio-Based ThorInto What It Is Today, But In Turning a Profit Every Year Since Its Inception

    T PNewsOOF THE

    continued on page 14

    RVDA Honors 8 OEMsWith Quality CircleAwards at Louisville

    The Recreation Vehicle DealersAssociation (RVDA) presented its16th annual Quality Circle Awards toeight RV manufacturers on Nov. 30on the eve of the 47th Annual NationalRV Trade Show in Louisville, Ky.

    The towable RV brands/manufac-turers receiving awards are: ForestRiver Inc., Jayco Inc., Keystone RVCo., KZ RV LP, Open Range RV andPalomino RV. The three motorized RVbrands/manufacturers are: JaycoInc., Tiffin Motor Homes Inc. andWinnebago Industries Inc.The resultsof the survey reflect more than 1,600individual brand evaluations from 322dealers, The builders received overallratings of 80% or higher.

    Richard Coon

    Wade F.B. Thompson

    continued on page 20

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  • 12 RVBusiness J A N U A R Y / F E B R U A R Y 2 0 1 0

    of theNEWS

    IN BRIEFLazydays Completes Court-Ordered Restructuring. Lazy DaysRV Center Inc., doing business asLazydays, announced Dec. 22 it hadsuccessfully completed a court-super-vised financial restructuring process thatbegan on Nov. 5. As a result of therestructuring, Wayzata InvestmentPartners LLC, through the funds it man-ages, has become the majority and con-trolling shareholder of Lazydays and itssubsidiaries. In response to increasingretail activity and the companysimproved financial position, the dealer-ship also recently increased the size ofits work force by 65.

    Spartan Motors Inc. AcquiresUtilimaster. Spartan Motors Inc.announced Nov. 31 it had acquiredUtilimaster Corp. from John Hancock LifeInsurance Co., a unit of Manulife FinancialCorp., a leading Canadian-based finan-cial services group, in an all-cash transac-tion valued at approximately $45 million.Utilimaster is a dominant manufacturer ofspecialty vehicles made to customerspecifications in the delivery and servicemarket, including walk-in vans and hi-cube vans, as well as truck bodies.Charlotte, Mich.-based Spartan said theacquisition of Utilimaster is expected toadd approximately $105 million in annual-ized revenues and be slightly dilutive toearnings in the first full year and accretiveby year two.

    Thetfords Norcold Brand Marks50th Anniversary. Founded in 1959 tomanufacture and sell specialty refrigera-tors for the RV and marine industries,Thetford Marines Norcold brand recentlycelebrated its 50th anniversary.Headquartered in Ann Arbor, Mich.,Thetford Corp., a privately held companywith eight manufacturing facilities in fourcountries, is the worlds leading supplierof sanitation and refrigeration products forthe recreational vehicle, marine andheavy-duty truck industries.

    Country Coach Inc. Asset AuctionStarts on Feb. 4. Troubled RV makerCountry Coach Inc. has announced it willbegin auctioning off its assets in the newyear.The announcement came after a fed-eral bankruptcy court ruling. The courtordered Junction City, Ore.-basedCountry Coach to auction off all its assets,including debtor-owned equipment,inventory and furnishings.The auction isset for Feb. 4 at Country Coach. All theproceeds from the auction will be used topay off the RV makers pending debts.

    The board of the Recreational ParkTrailer Industry Association (RPTIA)voted recently to cease all negotiationswith the Recreation Vehicle IndustryAssociation (RVIA) for possible reuni-fication. The ongoing discussions hadbeen expected to lead to RPTIA, repre-senting park models, being reabsorbedinto RVIA, an association of more con-ventional towable and motorized RVbuilders, in some fashion.

    According to RPTIA ExecutiveDirector William R. Bill Garpow, thedecision came on a very close vote ofthe 35-member RPTIA board.

    The vote was not unanimous, saidGarpow. When we first got into thediscussions, it was not unanimous eitherthat we would go forth and examine thepossibility. The board wanted to see if itwas possible for us to do this. The guyswho were against it pushed for a vote.

    Recreation park trailer manufacturerswere RVIA members until October1994 when they left the organizationand formed their own group based inthe Atlanta suburb of Newnan, Ga.

    RPTIA currently has 30 manufacturermembers and operated in 2009 on a$416,000 budget. The sale of RPTIAseals to park trailer manufacturers to affixto units they sell had plunged to about3,000 through October 2009. Thats alittle less than half of the 6,217 seals soldduring the same period in 2008.

    Nevertheless, RPTIA President CurtYoder, vice president and co-owner ofpark trailer manufacturer KropfIndustries Inc., Goshen, Ind., said amajority of RPTIA board membersapparently wanted to remain

    autonomous.A good portion of our board thought

    that our independence was more impor-tant than joining forces with RVIA atthis time, Yoder told RVBusiness. For15 years weve been doing our own thingand a lot of our members felt if it wasntbroke, dont fix it. They didnt see anyupside for us to dissolve our association.

    RVIA President Richard Coonexpressed surprise at RPTIAs decision.

    My personal reaction is that theirannouncement was a bit of a disap-pointment, Coon said. The twoorganizations being together is betterthan being separate. But they obviouslydont feel that way. Im disappointed anda bit surprised.

    In the big picture, Coon said somerecreation park trailer manufacturersmay have lingering ill feelings aboutbeing asked to leave RVIA 15 years agoand a decision three years ago sincereversed to exclude RPTIA mem-bers of RVIAs National RV TradeShow in Louisville, Ky., because ofspace constraints.

    Nonetheless, the discussions betweenthe two organizations have had a posi-tive effect, Coon said. I think we arebetter friends today than when we start-ed the talks, Coon said. We will con-tinue to work with them.

    The decision to halt reunificationtalks also has rekindled the possibilitythat RPTIA will move its headquartersto Elkhart County, Ind., the RV manu-facturing hub in the U.S. The move toElkhart, that ultimately is our goal,Yoder said. How soon that happensremains to be seen.

    RPTIA Board Votes to End RVIA Reunification Talks;Two OEM Associations Had Been Expected to Merge

    Keystone Buys Fleetwoods Oregon Trailer FacilityTowable manufacturer Keystone RV Co.

    announced Nov. 11 that it had purchased theformer Fleetwood Enterprises Inc. travel trailerfacility in Pendleton, Ore.

    The property consists of two manufactur-ing plants with approximately 203,000 squarefeet under roof on 21-plus acres in easternOregon. The purchase will augment threeother production facilities in the Pendletonarea where Keystone produces the Cougar,Springdale, Hornet and Energy toy hauler trav-el trailers.

    Keystone President and CEO Ron Fenechcalled the acquisition a natural move for the

    company with headquarters in Goshen, Ind.Bob Martin, Keystone executive vice presi-dent, added that the company expects to hireabout 100 people to build an unspecified lineof towable RVs beginning this spring.

    We want to determine which of our lineswould be best served coming out of theOregon factory, Martin said. Weve beenlooking at West Coast expansion for the lastcouple of years.

    Keystone opened its first Oregon facility inJanuary 2000. In August, Keystoneannounced that it was hiring 200 workers inGoshen where it operates 15 production lines.

    011-RVB100102 Top of the N 1/4/10 2:44 PM Page 12

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  • 14 RVBusiness J A N U A R Y / F E B R U A R Y 2 0 1 0

    of theNEWS

    IN BRIEFGuaranty RV Signs on WithMonaco/R-Vision. Monaco RV LLCannounced its partnership with one ofthe nations largest and most respectedRV dealerships, Guaranty RV, located inJunction City, Ore. Guaranty RV andowner Herb Nill, the 2009 recipient of theDave Altman Award for lifetime achieve-ment, will again carry Monaco brandmotorhomes, as well R-Vision brand tow-ables.

    Glacier Bay RV Now SellingFactory-Direct Fifth-Wheels.Glacier Bay RV, formerly North AmericanTraveler in Elkhart, Ind., has moved into anew 22,000-square-foot factory in a smallindustrial park on the north side ofGoshen, Ind., and has begun marketingGlacier Bay fifth-wheels factory-direct.Fiberglass-and-aluminum Glacier Bayfifth-wheels are available in six 34 1/2- to38-foot floorplans with few options forretail prices from $46,000. A 2011 quad-slide model will be introduced in mid-January.

    RV Aftermarket Association toMeet Aug. 24-27. The RV AftermarketAssociation will hold its 2010 ExecutiveConference Aug. 24-27 at the HyattHuntington Beach Waterfront Resort inHuntington Beach, Calif. RVAAs annualExecutive Conference brings the after-market manufacturer and distributor part-ners together in one location for threedays of networking and one-on-one busi-ness meetings that help determine mar-keting programs and arrangements forthe coming year. For more informationabout the conference or joining RVAA, goto www.rvaahq.com.

    Drew Industries Posts ProfitSpike Despite Lower Sales. DrewIndustries Inc. reported net income of$7.2 million for the third quarter endedSept. 30, nearly triple the third quarter2008 net income of $2.6 million. Themarked increase in 2009 third quarter netincome was achieved despite a 2%decline in net sales, to $122 million.

    Mike Thompsons RV SuperStores Opens Fourth Store. MikeThompsons RV Super Stores opened afourth location in Cathedral City, Calif.,about 130 miles east of its flagship deal-ership in Santa Fe Springs southeast ofLos Angeles. Mike Thompsons, whichalso operates stores in Colton andFountain Valley, Calif., has hired about 25people to staff the new store featuring anoutdoor display area on two acres.

    Truck campers up 11% to 2,000. Class A motorhomes rising 20% to

    6,100. Class B van campers hitting 1,400

    units on 17% growth. Class C minimotorhomes recoup-

    ing 30% to 6,900.Were looking for a recovery thats

    strong enough and an industry that isvibrant enough to once again have theNational RV Trade Show fill this entirecomplex, Coon said, alluding to thefact that RVIA, based on the state ofthe market for its membership earlierin 2009, appreciably downsized thisyears Kentucky Exposition Center(KEC) show. There is no gettingaround the fact that this years show issmaller than we are accustomed to, andthat is a stark visual reminder of whatour industry has suffered through sincewe met last year.

    However, Coon said he is confidentthat the industry will reoccupy theKEC in 2010 based on a reinvigoratedmarketplace.

    That type of resiliency has been ahallmark of the RV industry, he noted.We have withstood trying difficulttimes before. We have survived theGreat Depression, numerous recessionsand market downturns, fuel crises, actsof terrorism and wars. But we haveendured. Why? Because RVs are woveninto the fabric of America. Americanslove RVing. They love our products andhow they enrich their lives, allowingthem to spend time in the great out-doors with loved ones. And weve alwaysresponded to consumers desires withinnovative products that fit the times.

    Coon, meanwhile, said RVIA willbe leading the 2010 charge in celebrat-ing the industrys centennial mark-ing the first volume production of RVsin 1910 by hosting a dedicated website,ongoing public relations programs andnationwide promotions ostensiblyinvolving all segments of the RV arena,including manufacturers, dealers andRV park and campground operators.

    Much of the initiative will focus ona June 9 industry party in Elkhart, Ind.,during RVIAs Committee Week andAnnual Meeting at which industrymembers, media and political guestsare expected to gather.

    Personally, I plan to use the RVCentennial as a key theme in my mediainterviews over the next year, said Coon.

    My message will be that RVs havebeen around for 100 years, and theyll bearound for 100 more no matter whatkinds of headwinds we face.

    RVIA Chairman Jim Sheldon, aMonaco RV LLC executive who host-ed the breakfast, noted that PresidentObama shined a bright light on the RVindustry's travails during 2009. Now,you can agree or disagree withPresident Obamas politics, and we candebate the impact that the stimuluspackage has had on the economy,Sheldon said. But never has a UnitedStates president taken such a keeninterest in our industry, and that doeshave some direct benefits.

    The president significantly raisedour profile with his administration andCongress, aiding our efforts to have theRV industry included in economicrelief efforts and in RVIA's ongoingwork on key federal issues, addedSheldon. We want to leave the pes-simism, the doubt and the dark days oflast year behind. We are now hopeful,joyful, confident. We feel the sun shin-ing on our great industry once again.

    Also appearing at the breakfast wereAmerican Pickers Mike Wolf andFrank Fritz, hosts of a new HistoryChannel program who are workingwith the Go RVing Coalition in theirtravels around the country; New YorkerSilvio DiSalvetore, whose family lastsummer won the RV-related GreatAmerican Road Trip reality show, andRV historian David Woodworth, a vet-eran media spokesperson who receivedRVIAs Spirit of America award andwho will represent RVIA in centennialevents this year.

    Thor Industries Inc. and WinnebagoIndustries Inc. also received specialrecognition at the Outlook Breakfast asGo RVing Champions for pledging todonate $100,000 each to the Go RVingcampaign.

    Commenting on the industrys gen-eral PR initiatives and its 100thanniversary were RVIA PublicRelations Committee Chairman B.J.Thompson and RVIA Vice Presidentand Chief Marketing Officer GaryLaBella, who encouraged Outlookattendees to reflect on the RV indus-trys history of achievement. In anoth-er hundred years, RVs will still bearound in some form because peoplewill always want to spend time havingfun outdoors with friends and family,Thompson said. And theres no betterway to do it than in an RV.6

    Outlook 2010 from page 11

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  • 015-RVB01 PG 15 BR WHOLESA 12/30/09 11:06 AM Page 15

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  • ollier RV Super Center began back in 1964 wk hen

    Ed and Jim Colliers father traded a personal boat for anRV. After making the trade he saw potential in the RV businessand started the company. Sinceyythen Collier RV has grown to be one of tf he Midwests largestdealerships.Ed Collier, co-owner (alongwith his brother Jim Collier)of Cof llier RV Super Center, attributes most of his successto the ability to innovate.From converting an old lumberyard warehouse to a 52,000square foot indoor showroomto constantly looking for newways to communicate withtheir customers, the dealershipcontinually nds cutting edgeways to do business. The goalof doing things differentlyat Collier is to improve their customers experience.Finding the Inventory SweetSpotThe focus on innovation at thedealership extends to theirDealer Management Systemtoo. We needed visibility and asystem that helped us nd whatwe were looking for fast, Edsaid. They found what they were looking for in ADP LightspeedsRV Dealer Management System.Ed sees one of tf he major attributes to their success asthe ability to stock tk he rightmix of unit sef lection for their customers, while controllingtheir inventory costs. Their

    stocking process relies on theability to analyze real sales numbers that help forecastthe correct models to stockand at what levels. Ed looks tohis Lightspeed DMS to nd theperfect mix.The reporting in Lightspeedis so exible. Easy-to-denesales reports let me know what is moving, at what pricepoint they are moving andwhat has the best margin,said Ed. Within a few minutesI can have a detailed reporton just about anything in theLightspeed system. Very helpfuland time saving.To make it through this (badeconomy), we have had toreduce our inventory to whatis selling. Ed said. We areconstantly working to matchour inventory to current marketdemand while keeping what ishot on the lot ADP Lightspeedhelps us do just that by givingus real visibility into ourbusiness.With a complete view of tf hesales operations, Collier isable to nd the right blend ofinventory on the lot and stayprotable during the economicdownturn.Speed is Still the Name of theGameCollier looked to ADP Lightspeedto manage processes in a waythat allows them to focus onwhat they do best, servingtheir customers. Gatheringinformation and inventory

    management are essential to a successful business, but theydid not want anything to get inthe way of servinf g the customerquickly.One area that really saw an improvement was our Servicedepartment. ADP Lightspeedhas made it easier and faster tolook uk p customer information,track everk y aspect of our ref pairorders, make sure the workwas done, billed correctly andthe customer was taken careof, Ed said. It is easy to trackevery detail on every ticket.An Innovative PartnershipWith a Dealer Management System touching every partof a f dealers operations, itwas important for Collier RVSuper Center to nd a partner that they trusted. Finding thecorrect t that made sense fortheir business in the long andshort term was a major factor in the decision.ADP Lightspeed is a goodcompany to work witk h. Theyare very responsive to changes in the market and supportis always right there whenneeded. The Lightspeed systemis very easy to use and giveswonderful reporting to createvirtually anything you need tosee, Ed said.So does Ed feel he made the right decision in a technologypartner?ADP Lightspeed made me ahappy camper, responded Ed.

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    016-RVB01 PG 16-17 ADP 12/30/09 11:02 AM Page 16

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    016-RVB01 PG 16-17 ADP 12/30/09 11:02 AM Page 17

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  • An author, consultant and instructor, John Spader has worked with a host of individual companies (most frequently retail dealerships) in a variety of industries.iSpader Business Management - and the network of 20 Groups for which is has largely become known - blends statistical analysis and hands-on coaching andconsulting to assist clients in formulating proven business plans and increasing revenues. Comments or suggestions can be sent to: [email protected].

    18 RVBusiness J A N U A R Y / F E B R U A R Y 2 0 1 0

    Its 2010 finally. Youve survived agenerational downturn in sales. Nowmake sure youre ready to take advan-tage of the opportunities ahead.

    If youre like many dealers we know,youve endured the most significant chal-lenge to your businesss survival to date.Youve cut trusted staff, shelved long-termplans, reduced inventory and locations andwatched your balance sheet take a bodyblow. Youve paid a steep price to keep yourbusiness intact while many others havebeen forced to liquidate. But youve made it.

    The questions for the survivors now: q Are you in a position to take advan-

    tage of the coming market? qWhat can you do now to prepare your

    business for the opportunities that lieahead? q How do you prepare to go on the

    offensive?Previous recessions tell us that there will

    be a significant up-turn when the currentmarket ends.

    However, as a recession ends lenderswill tend to gravitate to the safest invest-ments possible. Does that category includeyour business?

    In recreational industries, the lendersthat have stayed in the game have showntheir commitment. But will they be ready togrow with you when the time comes? Theanswer for most is a qualified yes. Thequalification is that lenders will be interestedin backing those dealers with good balancesheets, clean inventories, and strong busi-ness plans.

    When the market comes back, you willwant to finance your re-expansion withmore inventory, facilities, and cash. Withoutfinancing sources, your business will be ineven more danger than it is now, as your

    competitors will be sucking up sales andmarket share while you remain cut off.

    So what can you do now to be ready forthe market when it comes back?

    Do What You CanFirst, manage what you can. Much of

    whats going on in todays marketplace isoutside your control. Focus instead on fourareas that are in your control for 2010:q Take control of your inventory;q Learn how to read and manage your

    balance sheet;q Plan for cash flow;q Manage your expenses to match the

    level of sales the market is giving you. Do itnow, and put it in writing.

    Lenders are aware that dealers havecome through a tough time, and they expectthat your financial statements will not lookgood. Although your balance sheet todaymight reflect losses and inventory liquida-tion, you can have a great story to tell thelender if you effectively manage your inven-tory and are in position to be profitable in2010 and beyond.

    Take a hard look at your inventory now,and devise a plan to sell through your agedunits. Generate an annual and monthly writ-ten cash flow plan. Look at your operatingplan again and determine if youve got yourexpense structure dialed down to the level itneeds to be for the coming year. Check yourpersonnel Expense Ratios and make sureyouve adjusted your business to the properstructural size. Look at your semi-fixedexpenses and decide what can be adjusted.Review your fixed expenses and decide ifyou are maintaining excess capacity in vehi-cles or equipment. If so, convert thoseassets to cash rather than maintaining andinsuring them.

    Finally, schedule a meeting with yourCPA and discuss what your year-end adjust-ments will be. If you use LIFO or other inven-tory adjustments, get involved with the calculations right now so that you can deter-mine if there are any last-minute adjust-ments you should make to your inventory a small change might make a huge taxdifference! Also, review your corporatestructure with your CPA. Have you madeloans to the corporation? Maybe this is theyear to forgive them and allow that money toflow as revenue to the company (and off theliabilities section of the balance sheet). Whatdepreciation methods are you using fortaxes? Should you use a different calcula-tion? Get involved with the accountant now,not after the fact.

    Understand the KeyCovenants Required by

    Your LenderDealers dont speak bank, and bankers

    dont speak dealer. Weve heard this frus-tration from both sides. It usually goessomething like this You think you have agood partnership with the bank and thenthe new commitment letter shows up. Itmight as well be written in Greek. You readthe first page or two, then scan the rest andsign, wanting to get back to work.

    Sound familiar? Well, this is not the yearto scan and sign. Call your rep and ask fordetailed explanation of all items on your list.Make sure you understand exactly whattheyre looking for and where to find it onyour statements. Find out why its importantto them, what behaviors and results theywant to see from their dealers, and deter-mine what would need to happen in yourbusiness in order for you to meet therequirements.

    The SPADER REPORT B Y J O H N S P A D E R

    Question: What Comes Next?There Are Two Very Dangerous Times for BusinessesDuring a Recession. Youve Survived the First One the Crash in Sales Volume. The Second Time ofDanger is Right Now.

    018-RVB100102 Spader LO 12/30/09 11:01 AM Page 18

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  • J A N U A R Y / F E B R U A R Y 2 0 1 0 RVBusiness 19

    Sometimes this may require you to dothings that seem counterintuitive. Forinstance, one dealer we know recently liqui-dated a large amount of inventory at a sub-stantial loss. His P&L looked terrible, but hewas able to reduce his debt so substantiallythat his debt-to-equity ratio and cash positionactually improved. The lender is happy, andthe dealer is now in a great position to buyfresh inventory for the coming season (with alarge weight off his shoulders).

    Know Where Your Weaknesses Are and

    Be Ready to DiscussThem With Your Lender

    A dealer recently asked a great question ata 20 group meeting: Can you sell your bal-ance sheet and business plan with as muchconfidence as you sell a unit in your dealer-ship? If the answer is no, then you need tofreshen up your balance sheet knowledge andbe ready to defend it. Almost every dealer stillin business is financially weaker today thanthey were three years ago, so it is no surprisethat youve got some ugly stuff on your bal-ance sheet. Your lender expects it. What theyalso expect from those whod like to have theirlines renewed or expanded are detailed plansof how things will improve. Take a lesson frompublicly traded companies and attach notes ofexplanation to your financials. Explain what ishappening and what youre going to do aboutit. Give benchmarks to show meaningfulprogress in measurable time. In other words,do everything in your power to display thatyou are aware of the critical issues in yourbusiness and that you are taking steps toimprove them.

    There are two very dangerous times forbusinesses during a recession. Youve sur-vived the first one the crash in sales vol-ume. The second time of danger is right now.Stability is in sight, and now is the time tomaintain financing in order to make the profitsneeded to restore the damage done to yourbalance sheet. Recession is followed with aresurgence of some kind. Dealers who comeout of crisis management mode, accept thecurrent reality and start to plan for the futurewill be way ahead of those who dont.

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    018-RVB100102 Spader LO 12/30/09 11:02 AM Page 19

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  • 20 RVBusiness J A N U A R Y / F E B R U A R Y 2 0 1 0

    of theNEWS

    The green movement is alive inthe RV industry!

    proper planning, proceduresand materials.

    This process includes anindependent, third partyorganization that addstrust and verification.

    TRA Certification is the leaderin advising and certifying RVmanufacturers as green.

    See how TRA Certificationand green work for you.

    Thomas R. Arnold, PresidentMandy Leazenby, LEED AP

    Green Program ManagerTRA Certification, Inc.

    574-264-0745 / 800-398-9282www.tragreen.com

    Green Business is Good Business!

    Going Green means

    While Thompson and Orthwein continued towork out of New York and Connecticut ratherthan the Midwest manufacturing base, Thorwent public in 1984 and was first listed on theNew York Stock Exchange in 1986. Thor cur-rently holds leading U.S. market share positionsin both travel trailers and fifth-wheels.

    Thompson, who was enamored with NewYork City from his earliest days in his nativeNew Zealand, always felt that his major busi-ness legacy was not only in helping buildJackson Center, Ohio-based Thor into what it istoday, but in turning a profit every year since itsinception including the current recession.

    Thompson, who never owned an RV, hadbecome a soldier in the fight against cancer ina number of ways, most visibly by havingfounded the Drive Against Prostate Cancer in2000 with two Airstream mobile medical vehi-cles providing more than 100,000 men particularly the underserved and veterans with free prostate cancer screenings. He wasalso deeply dedicated to the arts, historicpreservation and conservation.

    Amid the gala Christmas lights of NYC, thememorial service was held at the Park AvenueArmory, a historic art center on ManhattansUpper East Side to which the 69-year-oldThompson had donated $35 million. Due inpart to his efforts, the Victorian landmark wastransformed into one of New Yorks largesttheater and exhibition sites. The armorys60,000-square-foot, seven-story high DrillHall is named in his honor.

    In attendance at the service wereThompsons wife of 42 years, Angela; his chil-dren, Charles A.Y. Thompson and AmandaJane Thompson Riegel; his daughter-in-law,Olya A.Y. Thompson; son-in-law, Richard E.

    Riegel III; and six grandchildren.Richard E. Dicky Riegel is Thors COO

    and co-chairman of the recreational vehicleindustrys Go RVing Coalition.

    Also in the audience was Orthwein as wellas representatives of Thor corporate and itsindependent RV divisions, Keystone RV Co.,Airstream Inc., Dutchmen Manufacturing Inc.,Four Winds International Corp., CrossRoadsRV, Damon Motor Coach, Breckenridge,Komfort Corp., General Coach and the com-panys commercial bus manufacturing opera-tions. So, too, were several RV industry sup-pliers, association executives, retired Thorpersonnel and a host of personal friends.

    Or thwein, Riegel, daughter Amanda,granddaughter Amelia, son Charles, cancersociety officials and Armory representativeswere among those who spoke at the memori-al in which Thompson was portrayed as generous, adventurous, fiscally tight,fiendishly detailed, visionary, opinionated,belligerently honest and as a man whoachieved the utmost American dream.

    Orthwein, a 32-year friend and partner ofThompsons who currently serves as Thorsinterim chairman and CEO, said Thompsonshigh standards, leadership skills and generalwillingness to take on tough problems were aninspiration to him. He drew warm laughter inrecounting Thompsons legendary fiscal tight-ness, telling a story about how, when the twowere traveling together years ago with littletime to spare, Thompson spent about 45 min-utes going from one counter to the next, play-ing one rental car company against the otherto get the best rates.

    I feel like the luckiest man on earth tohave had such a wonderful business partnerand friend as Wade, said Orthwein. Hetaught me so much that I sorely miss my dailyconsultation with him.

    Thompson from page 11

    LaSalle Bristol Parent Co. Completes RestructuringHeywood Williams Group PLC, parent

    company of Elkhar t, Ind.-based LaSalleBristol, announced Nov. 20 it had completed acomprehensive capital-restructuring plan thatincluded selling all of its subsidiaries to ArranIsle Ltd., a newly incorporated company. Therestructuring significantly reduces future inter-est payments and provided the company withadditional financing to support the growth ofthe business as markets start to recover.

    As part of the process, Richard Karcher,president and CEO of LaSalle Bristol, will jointhe board of directors of the company,referred to as the Group in a press release.

    We are delighted that our parent compa-ny has strengthened its balance sheet andbuilt a foundation for future growth, Karchersaid in the release. While LaSalle Bristol

    remains self-financed with a strong cap posi-tion, this restructuring will allow us to takeadvantage of future growth opportunities inthe U.S. as our markets recover.

    Key elements of the restructuring includedthe writing off of $34 million of the Groupsdebt by its U.K. banking syndicate in return fora major shareholding in the new Group whilealso providing the company with $10 millionof additional financing to support the growthof the business.

    The restructured Heywood Williams groupis now a private company. The previous com-pany has delisted from the London StockExchange.

    We are very pleased to have completedthe comprehensive restructuring of HeywoodWilliams, noted company CEO Robert Barr.

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  • J A N U A R Y / F E B R U A R Y 2 0 1 0 RVBusiness 21

    of theNEWS

    Affinity Group Inc. (AGI), the nationslargest provider of outdoor recreation clubs,services, media and events, announced Dec.17 that is has entered into a non-binding letterof intent with a private equity firm to fortify itscapital structure. The transaction will provide$70 million in new funding and award the firma future economic interest in Affinity.

    This new source of capital will allowAffinity to reinvigorate its growth strategy andput the company on a more secure financialfooting going forward, said Mike Schneider,CEO of Affinity. In spite of the severe down-turn in the RV industry this last year, we arepleased the company has come through thisdifficult period and will now be able to growwith the industrys anticipated recovery.

    The multi-media companys divisionsinclude the Good Sam Club and numerous con-sumer and business websites, publications andshows for RV, powersports and marine enthusi-asts; AGI is the parent company of RVBusinessand RVBUSINESS.COM. The company alsoowns Camping World, the largest after-marketretailer in the RV industry, with more than 75locations throughout the United States.

    Affinity Group Announces New Financing Agreement

    Winnebago Industries Inc. reported Dec.17 improved financial results for the compa-nys first quarter of fiscal year 2010.

    Revenues for the quarter ending Nov. 28were $81 million, an increase of 16.7%, vs.$69.4 million for the first quarter of fiscal2009. The company reported an operatingloss of $6 million for the quarter, vs. an oper-ating loss of $16.9 million a year ago. Net lossfor the first quarter was $1.3 million vs.$9.6million for the first quarter of fiscal 2009.

    Wall Street responded by sending thecompanys stock price nearly 22% higher.

    We are extremely pleased to see anincrease in revenues, as well as posting a smallgross profit in our first quarter, said Bob Olson,Winnebago chairman, CEO and president. Asdifficult as this recession has been forWinnebago Industries and the entire RV indus-try, we believe the worst may be over.

    Winnebago Industries sales order backlogwas 1,521 motorhomes on Nov. 28, anincrease of 350% compared to the end of thefirst quarter of fiscal 2009. This also repre-sented an increase of 62% from Aug. 29, theend of the companys fourth quarter.

    The increased demand for our products is

    particularly noteworthy since it is seasonallyvery unusual to have a significant increase atthis time of year, said Olson.

    Due to the escalation of our sales orderbacklog, we have increased our productionlevels and during the first quarter of fiscal2010, our employment grew by approximate-ly 350 employees.

    According to Statistical Surveys Inc., theretail reporting service for the RV industry,Winnebago Industries gained market share inthe combined Class A and C markets with19.3% for the first 10 months of calendar2009, compared to 18.3% for the same peri-od last year.

    Earlier, Winnebago announced that theboard of directors elected Randy J. Potts tothe position of senior vice president, strategicplanning. In conjunction with the election ofPotts, Daryl W. Krieger was appointed to theposition of director, manufacturing.

    Potts, 50, will be responsible for new busi-ness development for the Forest City, Iowa-based company. Krieger, 46, will oversee allproduction, inventory control, maintenanceservices, warehousing, manufacturing engi-neering and tooling areas of the company.

    Winnebago Reports Higher Revenue, More Product Orders; Substantially Trims Losses

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  • 22 RVBusiness J A N U A R Y / F E B R U A R Y 2 0 1 0

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    The common stock of ThorIndustries Inc. gained at least 100% invalue in 2009, qualifying it for a spot onthe NASD100.com listing.

    A total of 953 publicly held compa-nies made the listing, which was record-ed through Dec. 14.

    Thor stock rose 115% during theperiod, good for 835th place.

    On Nov. 30, Thor reported increasedsales, net income and earnings per share(EPS) for the first quarter ended Oct.31. Net income was $23.4 million, morethan quadruple last years $5.1 million.EPS were 42 cents versus 9 cents lastyear. Sales for the quarter were $502.6million, up 15% from $438.8 million.

    The company announced Dec. 17that it purchased 3,980,000 shares of itscommon stock from the estate of WadeF. B. Thompson in a private transaction.The repurchase represented 7.2% ofThors common stock currently out-standing.

    Acting on the repurchase, whicheffectively lowered the companys sharecount, Robert W. Baird & Co. raised itsF2010 EPS estimate on the company to$1.62 from $1.55 to reflect fewer sharesoutstanding. Likewise, it raised itsF2011 estimate to $1.99 from $1.85.

    Thor Industries Quadruples Q1 NetIncome; Stock Rises 115% in 09,Qualifies for National Ranking

    Buddy G. Gregg, president and founder ofBuddy Gregg Motor Homes Inc., died at hishome in Texas on Dec. 30.

    Gregg and his wife, Carole, opened theirfirst dealership in Little Rock, Ark., in 1984. In1986 they moved the dealership to one of itscurrent locations in Knoxville, Tenn. Foralmost three decades Buddy Gregg MotorHomes sold and serviced RVs to individualsand businesses across North America,according to a statement from the company.

    At the height of the RV business Gregghad dealerships in Oregon, Florida, Texas andTennessee.As a perennial recipient of the top10 dealer award from Monaco Coach Corp.and Country Coach Inc., Gregg earned a rep-utation as a high volume and high qualityservice dealer. During his career Gregg sold orserviced over 100,000 recreational vehicles.

    Gregg is survived by his wife, sonGregory, daughter Marla, son-in-law BrianGriffitt, two grandsons and mother-in-lawDorothy Williams.

    Buddy Gregg Considered anInnovator, Industry Leader

    Jayco Inc. announced changes in its sen-ior management team Nov. 19 as part of aplan to strategically position the company forlong-term growth.

    Jim Jacobs has been named general man-ager of the Starcraft RV and Entegra Coachdivisions of Jayco. David Eash will replaceJacobs as Jaycos vice president sales &marketing. Eash will be replaced as vice pres-ident customer service by Marc West.

    Jacobs takes over the Starcraft andEntegra Coach divisions after having served

    as Jaycos chief sales executive for six years.He joined the company in 2002 after servingin sales and management positions with KitManufacturing, Holiday Rambler Corp. andChief Industries.

    Eash has served as vice president cus-tomer service since 2005. Prior to that heserved in various management roles, includ-ing regional sales manager. Marc West joinedJayco in 1992 and has served is a variety ofmanagement roles, most recently as directorof corporate services.

    Jayco Announces Senior Management Changes

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  • 023-RVB01 PG 23 RV TRADER 12/30/09 11:06 AM Page 23

    Comments ContentsGo To:.com

  • built on

    024-RVB01 PG 24-25 JAYCO 12/30/09 11:06 AM Page 24

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  • promises kept.

    entegracoach.com

    over the last 40 years,

    the power of

    024-RVB01 PG 24-25 JAYCO 12/30/09 11:06 AM Page 25

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  • 26 RVBusiness J A N U A R Y / F E B R U A R Y 2 0 1 0

    of theNEWS

    RVs are starting to go green in whatcould be an added incentive for consumers tolift the industry out of its doldrums. If thesigns at the National RV Trade Show inLouisville in December are any indication,green and RV can go hand and hand justfine: Six RV and park model companies boast-ed products at the show with GreenCertified insignia on them, provided by theindependent cer tification firm, TRACertification. TRA has developed a set ofgreen requirements based on the ANSI con-sensus standard for new construction, whichalso fits the RV industry, TRA reported.

    Everyone has become more green con-scious about everything, said Tom Arnold,president of TRA Certification. We know theRV industry has a customer base that is particularly attuned to environmental con-cerns. This provides a tremendous opportuni-ty for RV manufacturers and dealers to toutthis special kind of added value providedtheir claims are backed by some agreed-uponrequirements that buyers can trust.

    TRA Certification is a long-time, internation-ally accredited certifier of quality managementsystems. In recent months it has turned its

    attention to the RV and park model industries toimplement a set of consensus green require-ments from the construction industry that aremodified to meet RV and park model construc-tion practices. This is the first time such a pro-gram has been applied to the RV industry.

    TRA Certification anchored its show pres-ence in the EverGreen Recreational VehiclesLLC booth, where TRA Green ProgramManager Mandy Leazenby described thereception of their first appearance at the annu-al show as overwhelming.

    The TRA green certification insignias weplace on complying vehicles arent just some-ones opinion but are based upon theAmerican National Standards Institute (ANSI)consensus standard, which is being appliedfairly and uniformly throughout the industry,said Leazenby.

    RVs sporting TRA Certification insignia atthe show included a top Emerald rating forEverGreen RV units, which were the only RVsto utilize an Energy Star-rated roof. Otherproducts receiving certifications from TRAincluded the Jay Flight travel trailer fromJayco Inc., the Autumn Ridge travel trailerfrom Starcraft RV Inc., and the Surveyor and

    R-Pod travel trailers from Forest River Inc.Park models from Woodland Park have alsoreceived certification insignias.

    A sample of green practices used to makethese products includes such things as cut-ting wiring to exact lengths to eliminate waste;operating a separate recycling facility; usingeco-friendly insulation that is formaldehydefree and contains recycled glass and sand;efficient installation practices for insulation;and recycling of vinyl siding.

    There are many ways in which a compa-ny can show its greenness, said Arnold.Often a company many not even realize whatproduct or practices can be called green.Thats where we can help. Products likeawnings, for example, not only provide camp-site shade for RVers, but also for the RV,thereby reducing cooling loads.

    Were really just getting started with thisindustry, said Leazenby. This is yet anotherway in which the RV industry is growing moresophisticated to meet the demands of theirchanging marketplace.

    For more information, contact Leazenby,TRAs green program manager, at (800) 398-9282.

    Green Certification Takes Hold in RV Industry

    011-RVB100102 Top of the N 1/4/10 2:45 PM Page 26

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  • J A N U A R Y / F E B R U A R Y 2 0 1 0 RVBusiness 27

    I n S i t e s C o n v e n t i o n

    Private RV parks and campgrounds have been one of themore stable segments of the travel and tourism business in2009, with most parks reporting surprisingly strong revenueand occupancy figures the bulk of them up or down about 5% despite the recession.

    The nearly 600 private park operators, vendors and industryrepresentatives who attended the annual InSites Convention andExpo in Orlando learned that 2009 was also a year of multiplesuccesses for the sponsoring National Association of RV Parksand Campgrounds (ARVC). Not only did ARVC generate a lot ofpositive press due to an amped-up PR campaign, it also complet-ed a major redesign of its GoCampingAmerica website withinteractive Google maps.

    ARVC stepped up its member communications and secured an84% membership renewal rate. In fact, nearly half of ARVCsTexas members renewed their memberships, despite a decisionlast year by the Texas Association of Campground Owners(TACO) to loosen its affiliation with the national association.

    In addition, ARVC saw a 30% increase in the number of parksparticipating in its new GuestReviews online consumer surveyprogram, which is offered to private parks as an ARVC memberbenefit. This state-of-the-art online survey service, developedand provided by Murrieta, Calif.-based MacKinnon CampgroundConsulting, measures 34 different guest satisfaction elementssuch as site conditions, service, restroom cleanliness, facilityappearance as well as their overall camping experience.

    A total of 31 RV resorts and campgrounds have earned all-around A grades in the second annual consumer satisfactionsurvey of independent parks, it was announced in Orlando.

    Nearly 17,000 camping and RV enthusiasts participated in theonline survey, which evaluated guest experiences at 1,840 inde-pendent, ARVC-affiliated parks. Sixteen of the nations 31 topparks in our survey also received A ratings last year, but we alsohad 15 parks that received A ratings for the first time, said BobMacKinnon, president and CEO of GuestRated.com, which con-ducted the online survey for ARVC.

    NEWS inFOCUS

    From a relatively strong business performance to a successful new PRcampaign, the National Association ofRV Parks & Campgrounds (ARVC) hadquite a year in 2009, Chairman MarkAnderson and CEO Linda Profaizer toldattendees at the Rosen Centre Hotel

    BY SHERMAN GOLDENBERG

    ARVC Welcomes 600 ParkOperators at 2009 InSitesConvention/Expo in Orlando

    TOP: Some 600 private park operators, vendors and industry representa-tives attended the recent InSites Convention & Expo, sponsored by theNational Association of RV Parks and Campgrounds. BELOW: The floor ofthe busy Expo was filled with exhibitors.

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    Meanwhile, ARVC, which moved lastyear from the Washington, D.C., suburbsto Larkspur, Colo., launched an unprece-dented discount pricing program withThor Industries Inc. for specially builtpark models and travel trailers designedfor use as rental accommodations.

    In their joint presentation in a ball-room at the Rosen Centre Hotel inOrlando, ARVC Chairman MarkAnderson and President and CEOLinda Profaizer shared positive newsabout the camping and RV industrysexpected performance in 2010. Itseemed like people were giving camp-

    ing a try this year, said Anderson,adding that many snowbird parks wereprojecting a good winter season, withadvance reservations running slightlyahead of last winter's figures.

    The RV Industry is ComingBack From the Recession

    In his remarks to InSites attendeesat a lead-off panel discussion, VicNolting, vice chairman of Milford, Ohio-based Leisure Systems Inc. (LSI),expressed a sense of relief over therelative strength of the private parkbusiness compared to other segments

    of the travel and tourism business.By and large, people are saying, Up

    a couple (percentage points), down acouple, said Nolting. Yogi has had a verygood year. KOA has had a good year.And, unlike the hotel industry, our inven-tory is shrinking and were not having topromote and discount our life away.

    The RV industry, of course, has hada very tough couple of years, but thereare signs of a turnaround, RichardCoon, president of the Reston, Va.-based Recreation Vehicle IndustryAssociation (RVIA) reported during thesame panel discussion.

    In his remarks, Coon said 30 of 105RV manufacturers had gone out ofbusiness during the current recessionwhile 15 new manufacturers havestarted up. The basic (need) for RVs isdeeply rooted in family values (and) theenduring appeal of the natural environ-ment, he said. This appeal will over-come any economic barriers.

    At the same time, Coon said, thecamping lifestyle is drawing newenthusiasts, not only amongAmericans. He noted that more than50 Chinese business representativeswere scheduled to attend the NationalRV Trade Show in Louisville inDecember and that many of them haveexpressed interest in learning how todevelop campgrounds.

    Looking for an Uptick In The 2010 Camping Season

    Several InSites speakers indicatedthat they expect a slight increase in2010 business. KOA, for example, is

    TOP: Attendees at the CAMP meeting, held during theconvention. ABOVE: Representatives of Yogi BearsJellystone Park Camp-Resorts, Williamsport, Md.,accept the 2009-2010 Plan-It Green Award.

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  • J A N U A R Y / F E B R U A R Y 2 0 1 0 RVBusiness 29

    Please contact Carrier at 1-877-584-7059 or an authorized Carrier Service Centerto arrange for the retrofit of your f AirVr ceV iling unit heater assembly.

    2010 Carrier Corporation

    Carrier AirVrVVV Ceiling Unit Safety RecallModel Numbers: 68RV0010BA, 68RV0012CA, and 68RV0010EA

    Caution: Disconnect external circuit

    breaker or fuse tothe air conditioning

    unit beforeremoving cover.

    Remove 4 cover screwsto see model and serial number label.

    AirV ceiling unit Serial & model number label

    Model number

    First 5 digits ofserial number(ex., 50th week of 2008)

    Carrier is voluntarily recalling its AirVr ceiling units with heater assemblies manufactured between May 2007and July 2009, with the first 5 digits of the serial numbers ranging from 1807Y (18th8t8t week of 2007) through 3009Y(30((3(3 th week of 2009).

    The heater assembly in the ceiling unit may be defective, which could potentially create a fire hazard. Carrier willretrofit each units heater assembly at no charge. The AirVr unV it should not be operated until the heater assemblyhas been retrofitted.

    Carr

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    predicting a one-half percent increasein camper nights and a 3.8% hike inrates for its 450-park system, accord-ing to COO Pat Hittmeier. The reces-sion is not quite over with, heobserved. Were sort of crossing ourfingers to see what's going to happenin December, January and February.

    On the other hand, the long-termoutlook is very good, he said, addingthat 90% of campers who participatedin the latest KOA survey indicated theyplanned to camp as much or moreoften during the next five years as theyare now. In fact, 45% said they plannedto camp more during the next fiveyears, while only 10% said theyplanned to camp less.

    But while there was plenty of goodnews to share at the Orlando conven-tion, several InSites speakers told parkoperators they will need to step uptheir marketing and customer surveyefforts if they want to remain competi-tive and continue to build their busi-nesses in the months and years ahead.They also need to find ways to maxi-mize and improve guest satisfaction.

    I think the industry outlook reallylooks strong and robust, but challeng-ing, said panelist Ron Beard, a Texas-based campground consultant. I think

    whats going to happen over the nextfive to 10 years is possibly only thestrongest, most focused operators aregoing to survive, at least in the uppertiers of the business And those that

    New ARVC Board Members Seated, Awards PresentedElected to ARVCs board of directors

    executive committee during the Orlandoconvention were Chairman David L.Berg, Red Apple Campground,Kennebunkport, Me. Stepping up to 1stVice Chairman is Rob Schutter, presidentand CEO of Leisure Systems, Inc., Milford,Ohio. Second Vice Chairperson is MarciaGalvin, Normandy Farms Family CampingResort, Foxboro, Mass. Secretary for 2010 is Michael Gelfand, of Terra VistaManagement, Rancho Santa Fe, Calif.,while previous secretary Patrick O'Neill,of Destin, Fla., becomes treasurer, andMark Anderson, Camp Chautauqua,Stow, N.Y., takes a seat on the executivecommittee as past chairman. ARVC CEO

    Linda Profaizer also retains her seat on the executive committee.Also center stage in Orlando were the annual awards, the most visible of which included Small

    Park of the Year Award: The Springs at Borrego, Borrego Springs, Calif., Dan Wright; MediumPark of the Year Award: Cross Creek Camping Resort, Delaware, Ohio, Steve Cross, and Large Park of the Year Award: Holly Shores Camping Resorts, Cape May, N.J., David and Maggie Robinson.

    dont quite get it and (haven't) locked inon how the business works and theexpectations of their customers aregoing to settle down to the bottom ofthe business, possibly not making it.

    David and MaggieRobinson

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  • 30 RVBusiness J A N U A R Y / F E B R U A R Y 2 0 1 0

    K O A C o n v e n t i o n

    Kampgrounds of America Inc.s463 park operators breathed acollective sigh of relief this pastfall as they arrived in the third quarterof 2009 because of the surprisinglystrong upswing they had experiencedduring the summer season. And thatupbeat mood carried over to theapproximately 500 attendees from250 KOA parks who converged Nov.17-20 at The Woodlands WaterwayMarriott in the Houston suburbs for the2009 KOA Convention.

    As new KOA COO Pat Hittmeierpointed out in his opening remarks, thepast three years were somewhat of arollercoaster ride. And that, for mostAmerican business people, is probablyan understatement because the indus-try was on a roll coming off a record2007.

    We all had a sense of security, saidHittmeier, who succeeded former COOShane Ott last spring after 28 yearswith the Billings, Montana-based park

    NEWS inFOCUS

    Franchisor NotesRise in Revenues,Online Reservations;Outlines Use of Surveys,Capital-ImprovementsInitiative to Attendees

    KOA Celebrates Rebound toNear-Record 2009 Camping Season, Reviews Trends,Programs at Annual Confab

    franchisor. We as a company felt bull-ish going into 2008 and continued oninto the first four months of 2008.Ultimately, if you would have looked atthe consumer confidence index, youwould have started to see it slide backin the last part of 2007. Anyway, in May,gas prices spiked and hit a high of

    about $4.17 a gallon in July. It was theradical movement of that gas thatcaused a huge difference in our busi-ness. In fact, as I look at it historically,2008 was the first time in 20 yearsthat our registration revenue dipped insame-store campgrounds.

    Just as gas prices were receding, ofcourse, the recession and credit crisiswere setting in for real.

    It (2008) was a terrible summer forus 6% down, and it got worse in thefall and continued until this year,Hittmeier told KOAs franchisees.Consumer confidence hit an all-timelow. We were feeling pretty rotten. Wewere taking steps to save money, asmany of you were. Then the bigrebound happened this past summer.We bounced back with higher revenuesin the summer of 2009 than we had in2007. Camper nights were down a littlebit, but it was the affordable vacationthat caused that rebound. People werenot going to be denied traveling withtheir families and enjoying what's so

    KOA COO Pat Mittmeier addresses the nearly 500attendees at the annual KOA convention in Houston.

    Lorne Armer, KOA vice president of marketing, talksabout the media attention KOA received in 2009.

    Lodges were front and center during the KOAConvention Expo. KOAs goal is to convert 20% of itssites to lodges and cabins.

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  • J A N U A R Y / F E B R U A R Y 2 0 1 0 RVBusiness 31

    great about what KOA offers.KOAs senior management antici-

    pated finishing the year slightly ahead up 1% of 2008 in camper nights,with total registration revenues up2.1% to about $160 million, marginallyless than the $161 million posted in2007, the companys best year ever.

    Yet, Hittmeier didnt candy coatthings. Frankly, he said, this falls rev-enue and traffic numbers were lagging

    expectations to an extent.Unemployment remains a serious con-cern, and many empty-nesters stillarent traveling like they used to. Thatbig bump we saw in the summer hascooled down a little bit, he said. It maytake another year to get people back,but I have no doubt we'll be hitting onall cylinders soon.

    All in all, however, 47-year-oldKOAs pulse appears impressivelystrong heading into 2010, as Hittmeierand others reviewed the state of thecompany and its various programs dur-ing the Texas convention:q Twenty-four independent parks

    joined KOA in 2009 thats more than25 new parks for the third year in a row with several others in negotiations,making for a total of 463 parks atpress time.q KOAs new Value Kard Rewards

    (VKR) program turned the corner in itssecond year by posting a 30%increase from 300,000 to 390,000members through October.q Koa.com reservations were up

    11% on what KOA is describing as thecamping industrys most-visited web-site, with an average of 1.3 million vis-its per month accounting for $40 mil-lion in real-time, online reservationsthrough October. At the same time, thegroundwork has been laid for a two-year, multi-million-dollar, state-of-the-

    art redesign, according to KOAs annu-al report. This, says Hittmeier, isgoing to be our greatest tool forattracting new guests in the future.q Kamper Satisfaction Survey

    (KSS) guest responses were up 23% inthe seventh year of KOAs compre-hensive service/marketing perform-ance evaluation process. And 43 KOAsachieved more than 70% As for over-all guest satisfaction, which KOA termsa world class satisfaction benchmark.q An aggressive new capital-

    improvement program, requiring fully20% of KOAs 2010 gross profits, isplanned for the companys 25 compa-ny-owned parks.q KOA is garnering a healthy share

    of national publicity in formats likeTime magazine, Late Night with DavidLetterman and numerous newspapers,thanks in part to a newly hiredSouthern California PR firm, JMPR ofLos Angeles, the same outfit utilized byAirstream Inc.q Through a new Business

    Development Consultants (BDC) pro-gram, KOA is now sending experi-enced consultants in to the field toadvise new franchisees on an array ofbusiness practices. Parks receive visitswithin 30 to 60 days of completingtheir initial training.q KOA this year added more than

    250 full-service lodges, mostly rustic-styled recreation park trailers built bypreferred vendors General Coach,Cavco Industries Inc. and ThorsBreckenridge division, representing aninvestment of more than $6 million.This is part of a larger strategy aimedmostly at the non-RVing rental guestwho hasnt yet and may never ownan RV. The goal is to convert 20% ofKOAs sites to cabins and lodges

    Predictably, KOA, under the contin-ued aggressive leadership of Chairmanand CEO Jim Rogers, continues topush ahead with research into campingtrends, including surveys of guests onkoa.com and a phone survey of KOAcampers and non-KOA campers.

    What KOAs management is learn-ing, for one thing, is that the camping-close-to-home trend of recent years isprobably here to stay. The time crunchfelt by most families, accentuated bytwo-income families and childrensorganized activities, is making theshorter, close-to-home vacation theonly option available to many, statedKOA in its annual report. In fact, KSSresults indicate that 56% of recentcampers stayed at home the nightbefore their arrival at a KOA.

    KOA Honors Top Campgrounds Receiving the Rising

    Star Award at this yearsKOA convention were Joeand Diane Long, ownersof the Lena, Ill., KOA forhaving added sites, recre-ational facilities and poolrenovations plus a com-munity patio with afirepit. In addition, theIllinois park, which getstop grade customer satis-faction scores, now boastsWi-Fi throughout thecampground and a newly-remodeled campstore.

    Top honors went tothe Herkimer Diamond,New York, KOA, an unusu-al park that was namedKampgrounds of AmericasKampground of the Year.Purchased in 1981 by Rudy and Rena Scialdo, and now run by their daughter, Dr. Renee ScialdoShevat, and her husband Sam Shevat, the Herkimer Diamond, New York, KOA has gained localand national acclaim for its professionalism and quartz diamond mining.

    KOA Chairman and CEO Jim Rogers outlines the asso-ciations continued push into researching campingtrends, including a shift to park models.

    Jim Rogers, KOA CEO (left) and Pat Hittmeier, KOA COO (right), present theKOA Kampground of the Year award to members of the Scialdo-Shevat family, owners of Herkimer Diamond, New York, KOA Kampground.

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  • 2009 RVBUSINESS

    R ising tides lift most, if notall, ships.And the tides have been consistent-

    ly rising in the recreational vehiclearena for the better part of six monthsas an industry that helped lead the

    The RV Industrys Resurgence B Y S H E R M A N G O L D E N B E R G

    nation into the worst recession inyears again helps lead it out.

    In light of that, the staff ofRVBusiness and RVBUSINESS.com hasnamed The RV Industrys Resurgenceas RVBs 2009 Newsmaker of the Year.

    Looking back, its a natural sequel to2008s rather depressing RVBNewsmaker of the Year: The (Down)Economy.

    Indeed, evidence today of a recov-ery in this industry is everywhere, even

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  • Chronicling the Climb OutFrom the 08-09 Recession

    Looking back, an unusual May 14press event that had little to do direct-ly with RVs may have served as thefirst wakeup call for Wakarusa andElkhart County in that it essentiallyreminded people of the future foronce more than the past: A pressconference in a vacated DeMartini RVdealership in Wakarusa at which

    Indiana Gov. Mitch Daniels helpedannounce a partnership betweenElectric Motors Corp. and Nappanee,Ind.-based Gulf Stream Coach Inc. tomanufacture light-duty electric pickuptrucks with hybrid electric engines potentially creating some 1,600 jobs.

    In a turn of events that moredirectly involved RVs, NavistarInternational Corp. on June 4 com-pleted the $47 million purchase ofMonacos assets out of Chapter 11bankruptcy and revealed plans torestart Monacos Wakarusa operationsas Monaco RV LLC, a wholly ownedaffiliate of Warrenville, Ill.-basedNavistar Inc.

    This was big news. Even more thanthe potential number of jobs involved,the Navistar announcement seemed tosignal that a major U.S. corporation in this case a world-class truck builder was willing to bet on the future ofa key RV manufacturer during a majorrecession. The Monaco brand is a mar-ket leader with a strong reputation,and Navistar is pleased to add it to ourportfolio of leading brands and busi-nesses., Jack Allen, president ofNavistars North American TruckGroup, said at the time.

    Things accelerated in early Augustwhen Gov. Daniels again came to townon Aug. 4 to praise executives ofDometic LLC, a key supplier led by

    J A N U A R Y / F E B R U A R Y 2 0 1 0 RVBusiness 35

    S NEWSMAKER OF THE YEARthough the RV sector and the Americaneconomy clearly are not yet out of thewoods. Not until unemployment claimsdrop and home mortgage foreclosurerates recede around the RV manufac-turing center of Elkhart, Ind., (pop.52,000), can we collectively exhale.

    But things are certainly moving inthe right direction. Peaking at close to20% in March, Elkhart Countys unem-ployment rate in November stood at14.5%, down from 14.9% in October.And you can pretty much sense itaround the stores, restaurants, church-es and high school gyms around theRV-building mecca of Elkhart County a virtual poster child (along withDetroit) for The Great Recession of2008-2009.

    Indeed, the upturn is palpable inplaces like Wakarusa, a small, Amish-style village on Ind. 19 south ofElkhart that, pound for pound, proba-bly bore the brunt of The GreatRecession about as badly as any singletown in America.

    Triggered first by spiking gasprices that shook consumer confi-dence, then by the credit crisis thatwrung the life out of the U.S. econo-my, Wakarusas biggest setbacks camefrom the closure of a sprawlingMonaco Coach Corp. facility, knownfor decades as the home of theHoliday Rambler RV brand, andanother large complex in which TravelSupreme Corp. had built rather eleganttowable and motorized RVs until theprivately held firm shut its doors inApril of 2008. Numerous smaller shopsdependent on those and other manufac-turers closed up as well.

    In the ensuing months, thesedaunting economic realities touchedalmost every element of local society including school enrollments atNorthwood High School in nearbyNappanee.

    So, when did things start changingfor the better?

    Thats one of those questions forwhich theres no simple answer, ofcourse, but, in reviewing the yearspostings on RVBUSINESS.com, a seriesof positive news stories emerges thatchronicles the industrys climb out ofthe most dramatic economic setbackmost anyone can remember.

    new President Doug Whyte, for theircompanys plans to expand manufac-turing operations at two northernIndiana plants, creating more than 350jobs by 2012. Sweden-based Dometic,which makes air conditioners, awningsand sanitation systems for the RV mar-ket, announced that it was investing$10 million to increase productioncapacity at its Elkhart and LaGrangemanufacturing operations. Wevenever had a doubt, said Daniels. RVswill be back. Elkhart will be back, andwill resume its place as a major centerof economic strength for our state.

    Encouraging words.About that same time, a new Forest

    River Inc. towable RV-building divi-sion Prime Time ManufacturingInc. was unveiled with plans to adda couple hundred jobs in Wakarusa inthe vacant, 160,000-square-foot TravelSupreme complex. Extraordinary as itmay have sounded at the time, co-founder Chris Hermon said the fall of2009 was a perfect time to launch anew RV operation. In our mind, thetiming was exceptionally right with theworkforce thats available out here inWakarusa and Nappanee, he said.Thats really one of the things wereexcited about, is the talent pool thatthis area possesses.

    Those, again, were encouragingwords for an area that had reluctantlybecome the object of a host of nega-tive national news reports, including aspecial journalism project byMSNBC.com and a high profile Save

    S NEWSMAKER OF THE YEAR

    Mitch Daniels

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  • 36 RVBusiness J A N U A R Y / F E B R U A R Y 2 0 1 0

    Our Town taping by Fox News talkshow host Mike Huckabee.

    Obamas Visit Keeps NationalSpotlight on Elkhart County

    More national publicity soon fol-

    lowed as U.S. President BarackObama came to town on Aug. 5 tokeep an unstated promise after two2008 campaign stops and a FebruaryTown Hall meeting at Concord HighSchool in Elkhart to see Elkhartthrough the worst of the recession.This time, from a makeshift podium inNavistars Wakarusa plant, Obamaannounced the awarding of a $39 mil-lion federal grant to develop and buildall-electric delivery vehicles and bringyet more jobs back to the county.

    This, all politics aside, was a galva-nizing moment.

    In his remarks, Obama enumeratedsome of the hurdles facing the area,including an unemployment rate that

    had spiked 10 percentage points in ayear. Its an astonishing statistic,said Obama, whose arrival in Wakarusahad been preceded by a wave of SecretService agents cruising the backroadsaround town. And there have been

    times where nearly one in five peoplein this area have been looking forwork. Youve seen factories close, andyour sons and daughters move away insearch of jobs and opportunity. Sothis is more than an economic crisis.This goes to the heart and soul of acommunity. It tests the strength offamilies and the spirit of good people hardworking folks whove giventheir all to a company and now dontknow where to turn.

    There are some who see whats tak-ing place here and suggest that its allsomehow inevitable, and that the onlyway for America to get ahead is for(traditional manufacturing) places likeElkhart to be left behind, he noted.

    You hear that argument sometime inWashington. But I know and you knowthat the truth is exactly the opposite.Im here because I believe our abilityto recover and to prosper as anation depends on what happens incommunities just like this one.

    The battle for Americas future willbe fought and won in places likeElkhart and Detroit, Goshen andPittsburgh, South Bend, Youngstown in cities and towns across Indianaand across the Midwest and across thecountry that have been the backboneof America. It will be won by makingplaces like Elkhart what they oncewere and can be again and thatscenters of innovation and entrepre-neurship and ingenuity and opportuni-ty; the bustling, whirring, hummingengines of American prosperity.

    In the aftermath of Obamas visit,The Elkhart Truth noted, was arenewed sense of hope,. Its a start,waitress Karen Hundt told a reporter.Hopefully there will be a good hunk ofjobs for people.

    Brian Gildea, economic develop-ment director for the city of Elkhart,said the attention focused on ElkhartCounty due to the presidential stophad resulted in an instant uptick inphone and e-mail inquiries related tobusiness development and expansionplans. I do expect it and Im alreadyseeing some of it, he said.

    Positive Developments Emerge In the Late Summer HeatIn the ensuing weeks, things really

    began to heat up when Keystone RVCo. President and CEO Ron Fenech onAug. 12 announced that his Thor divi-sion planned to hire 100 full-timeemployees at its Pendleton, Ore., plantand up to 200 more to work in a vacant140,000-square-foot manufacturingfacility it was acquiring in Goshen.

    Then came another telling report that the Pennsylvania RecreationVehicle and Camping Show had drawnrecord attendance of 31,750 on itsopening retail day Sept. 16. Word wasthat a Chicago-area Camping Worlddealership had sold nearly 400 units atthe East Coast show, and even motor-ized manufacturers like Tiffin MotorHomes Inc. and WinnebagoIndustries Inc. after a tough year were able to crack a smile or two.

    Traffic was excellent, saidWinnebago Vice President of Salesand Marketing Roger Martin. We hada very nice mix of products retailed from Class Cs to Class A gas to Class A

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  • diesel. Consumer interest in our newWinnebago Via and Itasca Reyo (down-size Class As) was stellar with lineswaiting to get inside the units.

    Next up was Forest Rivers 2ndAnnual Pick Your Partner DealerMeeting, a Sept. 22-23 event thatdrew an impressive 2,000 people including 700 retailers to sprawlingoutdoor displays at the BerkshireHathaway Inc. subsidiarys Elkhartheadquarters. There, Forest Rivershowed everything from commercialcargo trailers to mobile latrines andtowable ice houses as well as a sea ofconventional RVs.

    The dealer meeting was twice thesize of 2008s event and wasinevitably viewed by the rest of theindustry as an upbeat omen for 2010.Obviously, we all know the recessionis over, founder and CEO Peter J. Liegl

    told RVBUSINESS.com at the time. Itwas over at the end of June. Recoveryis going to take a little longer, butdealers are selling and getting flooringand customers are getting financing.The RV industry is not bad right now.

    The Forest River factor was big, butother companies played significantroles during the following weeks. OnOct. 23, Thors CrossRoads RV divi-sion in Topeka, Ind., announced theplanned hiring of 125 workers.Nappanee-based Gulf Stream CoachInc. on Oct. 27 told the press that ithad hired back 50 laid off workers dur-ing the prior six weeks in itsmotorhome division and expected toincrease production of affordableClass Cs and gas-powered Class As by25% by the first of the year.

    And, on Nov. 4, Jayco Inc. told thepress that it was recalling 200 workersto meet rising demand because itsorder backlog was the largest it hadbeen in more than two years. As aresult of improving market conditions,very low dealer inventories and r